+
Report: PE/VC Investment in India Declines 44% to $3.5B
ECONOMY & POLICY

Report: PE/VC Investment in India Declines 44% to $3.5B

The investment in the country by private equity and venture capital funds continued to decrease in May. The overall values saw a decline of nearly 44%, amounting to $ 3.5 billion. The report, which was released by industry lobby IVCA and consultancy firm EY, revealed that in May 2022, the dedicated funds had invested $ 6.2 billion, while in April 2023, they invested $ 7.4 billion. These figures represent a decrease of 44% and 52% respectively.

Vivek Soni, a partner at the firm, mentioned that despite seeing some recovery in tech sector indices and global tech giants, the sentiment towards tech sector investments in India has been lackluster. He also noted that fundraising by Indian startups has been slow. Soni stated that although the funds have a significant amount of dry powder due to substantial fundraises over the past year and a half, they are cautious about deployment. They are mainly focused on managing their existing portfolios, which are struggling to maintain growth and improve margins.

Soni added that only healthcare and financial services have witnessed some investments. He expressed optimism about the medium- to long-term outlook, stating that overall deployments in 2023 will exceed the previous year's numbers.

In May 2023, the total deal activity in terms of volume stood at 71 transactions, which is 42 percent lower compared to the same period the previous year.

The report also highlighted that growth investments decreased by 4 percent, amounting to $ 1.9 billion across 17 deals, as opposed to $ 2 billion invested across 19 deals in May 2022. Additionally, pureplay PE/VC investments reached $ 2 billion across 62 deals, representing a 52 percent decrease in value.

Also read:
PMC notice to 200 building sites' developers
Kandoi Fabrics, director buy two apartments in Mumbai


The investment in the country by private equity and venture capital funds continued to decrease in May. The overall values saw a decline of nearly 44%, amounting to $ 3.5 billion. The report, which was released by industry lobby IVCA and consultancy firm EY, revealed that in May 2022, the dedicated funds had invested $ 6.2 billion, while in April 2023, they invested $ 7.4 billion. These figures represent a decrease of 44% and 52% respectively. Vivek Soni, a partner at the firm, mentioned that despite seeing some recovery in tech sector indices and global tech giants, the sentiment towards tech sector investments in India has been lackluster. He also noted that fundraising by Indian startups has been slow. Soni stated that although the funds have a significant amount of dry powder due to substantial fundraises over the past year and a half, they are cautious about deployment. They are mainly focused on managing their existing portfolios, which are struggling to maintain growth and improve margins. Soni added that only healthcare and financial services have witnessed some investments. He expressed optimism about the medium- to long-term outlook, stating that overall deployments in 2023 will exceed the previous year's numbers. In May 2023, the total deal activity in terms of volume stood at 71 transactions, which is 42 percent lower compared to the same period the previous year. The report also highlighted that growth investments decreased by 4 percent, amounting to $ 1.9 billion across 17 deals, as opposed to $ 2 billion invested across 19 deals in May 2022. Additionally, pureplay PE/VC investments reached $ 2 billion across 62 deals, representing a 52 percent decrease in value. Also read: PMC notice to 200 building sites' developers Kandoi Fabrics, director buy two apartments in Mumbai

Related Stories

Gold Stories

Next Story
Infrastructure Urban

NABARD Holds Seminar on Vigilance, Integrity and Good Governance

National Bank for Agriculture and Rural Development (NABARD) organised a seminar on “Vigilance: Strengthening Integrity and Good Governance” on 25 August 2026 at its Head Office in Mumbai as part of the ongoing Vigilance Awareness Campaign 2026 being observed from 17 August to 16 November 2026, with the theme “Probity for Prosperity."" The seminar was graced by Suresh N Patel, Former Central Vigilance Commissioner, Government of India, as the chief guest and keynote speaker.  The programme was attended by G S Rawat, Deputy Managing Director, Dr Ajay K Sood, Deputy Managing Dire..

Next Story
Equipment

XCMG Unveils World's First 14,000-Ton Ring Crane for Heavy Lifting

XCMG has announced that the first main unit of the world's first 14,000-ton ring crane has rolled off the production line, marking a historic breakthrough in ultra-heavy lifting technology. Jointly developed by XCMG and Sinopec Heavy Lifting & Transportation Co., Ltd., the crane will be the largest-capacity ring crane ever built, setting a new benchmark for major construction projects worldwide.The crane features a modular configuration comprising two main units that work in tandem. The first main unit has completed final assembly and can independently perform lifting operations. Once both..

Next Story
Infrastructure Urban

Thriveni Logistics orders 200 tip trailers from Jagdamba trailers

Jagdamba Trailers (JTPL), one of India’s growing trailer manufacturers, has secured a significant order for 200 Tip Trailers from Thriveni Transport and Logistics Pvt. Ltd., a leading mining and logistics company serving operations across India and overseas.The order, placed for iron ore transportation, is a major milestone for JTPL, particularly as the company secured the business after competing with more than 10 established trailer manufacturers. It also strengthens an already successful relationship between the two companies. Approximately one and a half years ago, Thriveni Transport and..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code